S.Amdt. 2143

SA 2143. Mrs. BLACKBURN submitted an amendment intended to be
proposed by her to the bill S. 4049, to authorize appropriations for
fiscal year 2021 for military activities of the Department of Defense,
for military construction, and for defense activities of the Department
of Energy, to prescribe military personnel strengths for such fiscal
year, and for other purposes; which was ordered to lie on the table; as
follows:

At the end of title XII, add the following:

Subtitle H--Protecting American Innovation and Development

SEC. 1291. SHORT TITLE.

This subtitle may be cited as the ``Protecting American
Innovation and Development Act of 2020''.

SEC. 1292. STATEMENT OF POLICY REGARDING THE MAINTENANCE OF
RESEARCH AND DEVELOPMENT LEADERSHIP WITH
RESPECT TO WIRELESS COMMUNICATIONS
TECHNOLOGIES.

Section 1752(2) of the Export Control Reform Act of 2018
(50 U.S.C. 4811(2)) is amended by adding at the end the
following:
``(H) To ensure the continued strength and leadership of
the United States with respect to the research and
development of key technologies for future wireless
telecommunications standards and infrastructure.''.

SEC. 1293. LIST OF FOREIGN ENTITIES THAT THREATEN NATIONAL
SECURITY WITH RESPECT TO WIRELESS
COMMUNICATIONS RESEARCH AND DEVELOPMENT.

Part I of the Export Control Reform Act of 2018 (50 U.S.C.
4811 et seq.) is amended by inserting after section 1759 the
following:

``SEC. 1759A. LIST OF FOREIGN ENTITIES THAT THREATEN NATIONAL
SECURITY WITH RESPECT TO WIRELESS
COMMUNICATIONS RESEARCH AND DEVELOPMENT.

``(a) In General.--The Secretary shall establish and
maintain a list of each foreign entity that the Secretary
determines--

[[Page S3556]]

``(1)(A) uses, without a license, a claimed invention
protected by a patent that is essential for the
implementation of a wireless communications standard and is
held by a United States person; and
``(B) has as its ultimate parent a covered foreign person;
or
``(2) is a successor to an entity described in paragraph
(1).
``(b) Watch List.--
``(1) In general.--The Secretary shall establish and
maintain a watch list of each foreign entity--
``(A)(i) that is a covered foreign person or has as its
ultimate parent a covered foreign person; and
``(ii) with respect to which a covered United States person
has made a demonstration described in paragraph (2); or
``(B) that is a successor to an entity described in
subparagraph (A).
``(2) Demonstration described.--
``(A) In general.--A covered United States person has made
a demonstration described in this paragraph if the person has
reasonably demonstrated to the Secretary that--
``(i) the person owns at least one unexpired patent that is
essential for the implementation of a wireless communications
standard;
``(ii) a foreign entity that is a covered foreign person,
or has as its ultimate parent a covered foreign person, has
been, for a period of more than 180 days, selling wireless
communications devices in or into the United States, directly
or indirectly, that--

``(I) are claimed, labeled, marketed, or advertised as
complying with that standard; and
``(II) use a claimed invention protected by a patent
described in clause (i) without a license;

``(iii) the covered United States person has offered to the
foreign entity or any of its affiliates--

``(I) a license to the person's portfolio of patents that
are essential to that standard; or
``(II) to enter into binding arbitration to resolve the
terms of such a license; and

``(iv) the foreign entity has not executed a license
agreement or an agreement to enter into such arbitration, as
the case may be, by the date that is 180 days after the
covered United States person made such an offer.
``(B) Demonstration of essentiality.--A covered United
States person may demonstrate under subparagraph (A)(i) that
the person owns at least one unexpired patent that is
essential for the implementation of a wireless communications
standard by providing to the Secretary any of the following:
``(i) A decision by a court or arbitral tribunal that a
patent owned by the person is essential for the
implementation of that standard.
``(ii) A determination by an independent patent evaluator
not hired by the person that a patent owned by the person is
essential for the implementation of that standard.
``(iii) A showing that wireless communications device
manufacturers together accounting for a significant portion
of the United States or world market for such devices have
entered into agreements for licenses to the person's
portfolio of patents that are essential for the
implementation of that standard.
``(iv) A showing that the person has previously granted
licenses to the foreign entity described in subparagraph
(A)(ii) or any of its affiliates with respect to a reasonably
similar portfolio of the person's patents that are essential
for the implementation of that standard.
``(C) Accounting of wireless communications device
market.--A showing described in subparagraph (B)(iii) may be
made either by including or excluding wireless communications
device manufacturers that are covered foreign persons.
``(c) Movement Between Lists.--A foreign entity on the
watch list required by subsection (b)(1) may be moved to the
list required by subsection (a), pursuant to procedures
established by the Secretary, on or after the date that is
one year after being placed on the watch list if the foreign
entity is not able to demonstrate that it has entered into a
patent license agreement or a binding arbitration agreement
with each covered United States person that has made the
demonstration described in subsection (b)(2) with respect to
the entity.
``(d) Definitions.--In this section:
``(1) Affiliate.--The term `affiliate', with respect to an
entity, means any entity that owns or controls, is owned or
controlled by, or is under common ownership or control with,
the entity.
``(2) Covered foreign country.--The term `covered foreign
country' means a country with respect to which the Secretary
determines that--
``(A) persons in the country persistently use, without
obtaining a license, patents--
``(i) essential to the implementation of wireless
communications standards; and
``(ii) held by a United States person; and
``(B) that use of patents poses a threat to--
``(i) the ability of the United States to maintain a
wireless communications research and development
infrastructure; and
``(ii) the national security of the United States, pursuant
to the policy set forth in paragraphs (2)(H) and (3) of
section 1752.
``(3) Covered foreign person.--The term `covered foreign
person' means a person that is--
``(A) an individual who is a citizen or national (as
defined in section 101(a) of the Immigration and Nationality
Act (8 U.S.C. 1101(a))) of a covered foreign country; or
``(B) an entity that is headquartered in, or organized
under the laws of, such a country.
``(4) Covered united states person.--The term `covered
United States person' means a United States person engaged in
wireless communications research and development in the
United States.
``(5) Wireless communications standard.--The term `wireless
communications standard' means--
``(A) a cellular wireless telecommunications standard,
including such a standard promulgated by the 3rd Generation
Partnership Project (commonly known as `3GPP') or the 3rd
Generation Partnership Project 2 (commonly known as `3GPP2');
or
``(B) a wireless local area network standard, including
such a standard designated as IEEE 802.11 as developed by the
Institute of Electrical and Electronics Engineers (commonly
known as the `IEEE').''.

SEC. 1294. IMPORT SANCTIONS WITH RESPECT TO CERTAIN FOREIGN
ENTITIES THAT THREATEN NATIONAL SECURITY.

Chapter 4 of title II of the Trade Expansion Act of 1962
(19 U.S.C. 1862 et seq.) is amended by inserting after
section 233 the following:

``SEC. 234. IMPORT SANCTIONS WITH RESPECT TO CERTAIN FOREIGN
ENTITIES THAT THREATEN NATIONAL SECURITY.

``(a) In General.--Any foreign entity on the list required
by section 1759A(a) of the Export Control Reform Act of 2018
may be subject to such controls on the importing of goods or
technology into the United States as the President may
prescribe.
``(b) Entry Under Bond.--
``(1) In general.--A product described in paragraph (2) may
enter the United States under bond prescribed by the
Secretary of Commerce in an amount determined by the
Secretary to be sufficient to protect from injury the covered
United States person that made the demonstration described in
section 1759A(b)(2) of Export Control Reform Act of 2018 with
respect to the entity that sold the product.
``(2) Products described.--A product described in this
paragraph is a product--
``(A) produced or sold by--
``(i) a foreign entity on the watch list required by
section 1759A(b) of the Export Control Reform Act of 2018;
``(ii) a successor of such an entity; or
``(iii) an affiliate of an entity described in clause (i)
or (ii); and
``(B) that is claimed, labeled, marketed, or advertised as
complying with a wireless communications standard that was
the basis for the inclusion of the foreign entity on the
watch list.
``(c) Forfeiture of Bond.--
``(1) In general.--If a foreign entity on the watch list
required by subsection (b) of section 1759A of the Export
Control Reform Act of 2018 is moved to the list required by
subsection (a) of that section and becomes subject to
controls under subsection (a) of this section, a bond paid
under subsection (b) shall be forfeited to the covered United
States person that made the demonstration described in
section 1759A(b)(2) of Export Control Reform Act of 2018 with
respect to the entity.
``(2) Terms and conditions.--The Secretary of Commerce
shall prescribe the procedures and any terms or conditions
under which bonds will be forfeited under paragraph (1).
``(d) Definitions.--In this section, the terms `affiliate'
and `covered United States person' have the meanings given
those terms in section 1759A(d) of the Export Control Reform
Act of 2018.''.

SEC. 1295. EXCLUSION FROM LICENSE REQUIREMENTS UNDER EXPORT
CONTROL REFORM ACT OF 2018 FOR PARTICIPATION IN
STANDARDS ORGANIZATIONS.

Section 1756 of the Export Control Reform Act of 2018 (50
U.S.C. 4815) is amended by adding at the end the following:
``(e) Exclusion From License Requirements for Participation
in Standards Organizations.--No license shall be required for
the export, reexport, or in-country transfer to a foreign
person of technology or software controlled under this part
if--
``(1) the technology or software--
``(A) is not included on the Commerce Control List set
forth in Supplement No. 1 to part 774 of the Export
Administration Regulations; or
``(B) is included on the Commerce Control List and is
controlled only for anti-terrorism reasons; and
``(2) the export, reexport, or in-country transfer occurs--
``(A) in connection with the participation of the person in
a standards organization; and
``(B) for the purpose of contributing to the revision,
development, or deployment of a standard by that
organization.''.
______